Putting Freedom Back to Work

House Chamber, Washington, D.C.  October 26, 2011.  M. Speaker:  The government’s continuing failure to address our nation’s gut-wrenching unemployment stems from a fundamental disagreement over how jobs are created in the first place.  

 We are now in the third year of policies predicated on the assumption that government spending creates jobs. 

 We have squandered three years and trillions of dollars of the nation’s wealth on such policies, and they have not worked because they cannot work.

 Government cannot inject a single dollar into the economy until it has first taken that same dollar OUT of the economy.

 True, we can SEE the job that is saved or created when the government puts that dollar back into the economy.  What we can’t see as clearly are the jobs that are destroyed or prevented from forming because government has first taken that dollar OUT of the economy.  We see those millions of lost jobs in a chronic unemployment rate and a stagnating economy.

 Government can transfer jobs from the productive sector to the government sector by taking money from one and giving it to the other.  That’s at the heart of the President’s plan to spend billions of dollars to hire more teachers and firefighters and police officers.  But these temporary government jobs come at a steep price: every dollar spent sustaining one of these jobs is a dollar taken from the same capital pool that would otherwise have been available to productive businesses to invest in creating permanent jobs.

Government can also transfer jobs from one business to another by taking capital from one and giving it the other.

 That’s how we got Solyndra.  We put a half-billion dollars at risk to create 1,100 jobs (that’s $450,000 per job).  Now that half-billion dollars are gone and so are the jobs.  And who pays for these losses?  Other businesses and their employees – meaning fewer jobs created. 

 What government can do very effectively, is to create the conditions in which jobs either flourish and expand, or whither and disappear.

 When we place additional taxes on productivity, jobs disappear.  The President says he only wants to tax millionaires and billionaires, but the tax increases in his so-called jobs plan actually hammer more than 75 percent of net small business income – at a time when we’re counting on those small businesses to create 2/3 of the new jobs that our people desperately need.  That is insane.

 When we place additional regulations on productivity, jobs disappear.  That’s what we’re watching in real time: thousands of pages of new regulations from Obamacare, from Dodd-Frank, from the EPA stifling American job creation.

It’s no secret why business isn’t expanding – just ask a businessman.
 
 They’re scared to death of the additional taxes and regulations they may be facing in the next few years and are pulling back to see what happens.  Ask bankers why they’re not lending and you’ll hear the same answer.

 House Republicans have laid out a comprehensive plan to revive the economy through the same policies that worked under Ronald Reagan in the early 1980’s; under John F. Kennedy in the early ‘60’s; under Harry Truman in the mid-‘40’s and under Warren Harding in the early ‘20’s.

 Reduce the tax and regulatory burdens on the economy and jobs flourish and multiply.

 For example, the Congressional Budget Office estimates that Obamacare by itself will cost the economy a net loss of 800,000 jobs.  A few weeks ago, the Natural Resources Committee received testimony that just by getting government out of the way and opening up American energy resources to development, the economy could generate 700,000 jobs and $660 billion of direct revenues to the national and state treasuries. 

Repeal Obamacare and open up American energy resources – there’s 1.5 million jobs right there – at NO cost to taxpayers.

Imagine doing that across all sectors of the economy.  That’s what Republicans are proposing to do.  The fact that the President doesn’t recognize this as a jobs plan leads me to conclude that he simply doesn’t understand how jobs are actually created in the first place.
 
 When Ronald Reagan inherited an even worse economy from Jimmy Carter, he reduced the tax and regulatory burdens that were crushing the economy – just as Republicans propose to do today.

Indeed, according to a recent article in the Wall Street Journal, if the economy under Obama had tracked the same as it did under Reagan, 15.7 million more Americans would be working today and per capita income would be $4,000 higher than it is today.

M. Speaker, Freedom works.  It is time that we put it back to work. 

# # #
 

Tele-townhall banner 

Latest News

Remarks in Opposition to Authorizing the Arming and Training of FSA (Free Syrian Army)

All of us recognize the threat posed to our nation by the Islamic State. The question before us is whether to arm and train supposedly vetted elements of the Free Syrian Army as a proxy ground force.

Confronting the Islamic State

Contrary to the President's assertions last week, the Islamic State IS Islamic and it IS a state - or at least has all the attributes of a state. It is precisely this combination that makes it so dangerous: a messianic and clearly stated intention to wage jihad on American soil and the resources and equipment to do so.

Lake Tahoe Summit

I want to thank Senator Feinstein for hosting this year's summit and for directing its attention to the threat of catastrophic wildfire, the greatest natural threat facing the Lake Tahoe region.

View more »

Search

Connect with Tom

  • Twitter
  • Facebook
  • YouTube
  • News Feed

Upcoming Events

Staff Satellite Office Hours

Office staff members are available to assist constituents with problems or concerns at satellite office locations held throughout the district.  Anyone wishing to discuss an issue of federal concern is invited to attend one of these satellite office sessions and speak with a member of staff.  For more information, or to reach staff, please call the district office at 916-786-5560.
  
Upcoming Staff Satellite Office Hours for October:
 
Amador County

Jackson
Tuesday, October 28th
9:30 am - 11:30 am
Conference Room D
County Administration Center
810 Court Street
 
Calaveras County
 
San Andreas
Tuesday, October 7th
9:30 am - 11:30 am
Calaveras County Water Agency Conference Room
120 Toma Court
 
El Dorado County
 
Camino
Thursday, October 9th
9:00 am - 11:00 am
Camino Pollock Pines
Chamber of Commerce
4123 Carson Road
 
El Dorado Hills
Thursday, October 9th
12:00 pm - 2:00 pm
El Dorado Hills Chamber of Commerce
2085 Vine Street, #105
 
South Lake Tahoe
Thursday, October 16th
9:00 am - 11:00 am
South Lake Tahoe Public Utility District
1275 Meadow Crest Drive
 
Fresno County
 
Auberry
Thursday, October 23rd
10:00 am - 12:00 pm
The Auberry Library
33049 Auberry Road
 
Madera County 
 
Oakhurst
Thursday, October 2nd
11:00 am - 1:00 pm
Yosemite Visitor Bureau Conference Room
40637 Highway 41
 
Coarsegold
Thursday, October 2nd
3:00 pm - 5:00 pm
Yosemite Lakes Park Clubhouse
30250 Yosemite Springs Parkway
 
Mariposa County 
 
Mariposa
Tuesday, October 21st
8:30 am - 10:00 am
Library Conference Room
4978 10th Street
 
Nevada County
 
Truckee
Thursday, October 30th
10:00 am - 11:30 am
Truckee Town Hall
Council Chambers
10183 Truckee Airport Road
 
Placer County
 
Auburn
Wednesday, October 15th
9:00 am - 11:00 am
Auburn City Hall
Room #10
1225 Lincoln Way
 
Lincoln
Wednesday, October 15th
3:00 pm - 5:00 pm
Lincoln City Hall
600 6th Street
 
Rocklin
Tuesday, October 28th
3:00 pm - 5:00 pm
Rocklin City Hall
3980 Rocklin Road
 
Tahoe City
Thursday, October 23rd
1:00 pm - 3:00 pm
Tahoe City Public Utility District
221 Fairway Drive
 
Tuolumne County
 
Sonora
Tuesday, October 7th
1:00 pm - 3:00 pm
Small Business Center Conference Room
99 N Washington Street
 
For further information on staff satellite office hours, please call 916-786-5560.